On January 2, 2024, Cole Inc. paid

$100,000

for a

30%

interest in Johnas Corp. This investee had assets with a book value of

$550,000

and liabilities of

$300,000

. A patent held by Johnas having a book value of

$10,000

was actually worth

$40,000

with a six-year remaining life. Any goodwill associated with this acquisition is considered to have an indefinite life. In 2024, Johnas reported a net income of

$50,000

and paid dividends of

$20,000

while in 2025 it reported a net income of

$75,000

and dividends of

$30,000

. Assume Cole has the ability to significantly influence the operations of Johnas.\ The equity in income of Johnas for 2025, is:\

$22,500

.\

$21,000

.\

$12,000

.\

$13,500

.\

$75,000

.

On January 2,2024 , Cole Inc. paid $100,000 for a 30% interest in Johnas Corp. This investee had assets with a book value of $550,000 and liabilities of $300,000. A patent held by Johnas having a book value of $10,000 was actually worth $40,000 with a six-year remaining life. Any goodwill associated with this acquisition is considered to have an indefinite life. In 2024 , Johnas reported a net income of $50,000 and paid dividends of $20,000 while in 2025 it reported a net income of $75,000 and dividends of $30,000. Assume Cole has the ability to significantly influence the operations of Johnas. The equity in income of Johnas for 2025 , is: $22,500. $21,000. $12,000. $13,500. $75,000